Samsung announces new advanced semiconductor fabrication site in Taylor, Texas 

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Samsung Electronics today announced that it has selected a site in Taylor, Texas to build a new semiconductor wafer fabrication plant that is ready to produce advanced logic devices.

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The new facility will manufacture products based on advanced process technologies such as mobile, 5G, high-performance computing (HPC) and artificial intelligence (AI).

The Taylor site, approximately 16 miles from Samsung’s current manufacturing site in Austin, is expected to serve as a key location for Samsung’s global semiconductor manufacturing capacity with its latest new production line in Pyeongtaek, South Korea.


An estimated $17 billion investment, which will mark the largest investment ever made by Samsung in the US, is expected to create approximately 2,000 new jobs directly and thousands of related jobs once the new facility is in full operation. The funding would bring Samsung’s total investment in the US to more than $47 billion since it began US operations in 1978.

Samsung’s decision comes amid global chip shortages that have battered industries From automobiles to electronics.

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The company said it is committed to supporting customers globally by making advanced semiconductor fabrication more accessible and meeting the growing demand for semiconductor products.

Samsung will begin construction on the Taylor site, which will cover more than 5 million square meters, in the first quarter of 2022, with the goal of getting production up and running in the second half of 2024.

“As we add a new feature to Tailor, Samsung is laying the foundation for another important chapter in our future,” said Kinnam Kim, Vice Chairman and CEO of the Device Solutions Division at Samsung Electronics. “With greater manufacturing capacity, we will be able to better meet the needs of our customers and contribute to the sustainability of the global semiconductor supply chain. We are focused on bringing more jobs and supporting training and talent development for local communities.” Proud too, as Samsung celebrates 25 years of semiconductor manufacturing in the US.”

After reviewing several locations within the US for a potential manufacturing plant, the decision to invest in Taylor was based on a number of factors, including the local semiconductor ecosystem, infrastructure stability, local government support, and community development opportunities.

Samsung, which has evaluated other locations such as Arizona, New York and South Korea for new chip plants, chose Williamson County in Texas because it offered a better tax policy. In July, Samsung Electronics applied for a tax break (from the Taylor Independent School District) to build a chipmaking factory in Taylor, Texas. one line Presented with Texas officials in July.

“This [Samsung] Seeks a strong public partner to support the project through financial and other incentives (eg, infrastructure and utility support). In connection with the project, the company is seeking exemptions under Chapter 380 and 381 assistance from the Texas Enterprise Fund. In addition, the company is also pursuing incentives related to certain infrastructure and utility improvements, rate cuts and other non-cash benefits to support the construction and operation of the proposed project,” according to the document.

Samsung will also provide financial support for Taylor Independent School Districts (ISDs) to set up a Samsung Skills Center to help students develop future career skills and provide internship and recruitment opportunities.

“Companies like Samsung continue to invest in Texas because of our world-class business environment and exceptional workforce,” Governor Abbott said. “Samsung’s new semiconductor manufacturing facility in Taylor will bring countless opportunities to hardworking Central Texans and their families and play a major role in our state’s continued exceptionalism in the semiconductor industry.”

Jay Y. Lee, the de facto leader of the Samsung Group, was visiting North America last week, meeting with US government officials in Washington, DC to discuss a second chip plant and semiconductor supply chain. Lee also met with other tech firm leaders, including Microsoft CEO Satya Nadella, and worked at Moderna and Verizon Wireless to strengthen their business ties.

Intel recently started work on two new chipmaking plants in Arizona. At the same time, TSMC began construction of a $12 billion chip factory in Arizona and in October announced its plans to build the first chip plant in Japan. Texas Instruments also unveiled its investment plan for four new semiconductor manufacturing plants in Sherman, Texas.

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